The great Public Short
Short all the public companies which don't have an AI strategy
In a world where artificial intelligence has become the driving force behind rapid advancements in technology, one can't help but notice the dramatic changes that are taking place across industries. The rise of ChatGPT and other powerful AI models has significantly impacted the value of human labor in the tech industry, and this shift is something I like to call "The Great Public Short."
Let me explain. These AI models are now capable of generating code and performing tasks that were once the exclusive domain of human workers. As a result, the cost and time required to develop an app or a piece of software have been reduced drastically. But what does this mean for the countless public companies that have built their empires on the backs of these human workers?
Well, as it turns out, many of these companies are now massively bloated. They have hired far more people than necessary, and their overhead costs are skyrocketing. As AI continues to develop at breakneck speeds, these companies are finding it harder and harder to justify their current workforce and keep up with the ever-changing market.
The grim reality is that many of these public companies will face a painful demise as a swarm of smaller, more agile competitors nip at their heels. The only way to fend off these relentless attackers is by developing a powerful moat – and the most potent moat available right now is Artificial General Intelligence (AGI).
The race is on. Public companies that successfully create their own AGI will be able to adapt and evolve in this new landscape, whereas those who fail to do so will inevitably crumble. As with any massive disruption, there will be winners and losers. For the tech labor market, this shakeup will lead to an even more significant divide between the haves and the have-nots.
Now, you might think that this is a tale of doom and gloom, but there's another side to the coin. For companies that manage to harness the power of AGI (Artificial General Intelligence), the possibilities are virtually limitless. These companies will be able to pivot quickly, adapt to new market conditions, and explore new frontiers in technology. In other words, they will be perfectly positioned to capitalize on the opportunities presented by this brave new world.
So, how can investors navigate this treacherous landscape? The answer lies in identifying the companies that are not only aware of the impending AI revolution but are also actively working to stay ahead of the curve. Keep an eye on those that invest heavily in AI research and development and possess a clear vision of how to integrate AGI into their existing business models.
In conclusion, the rise of ChatGPT and other AI models has ushered in an era of cheaper and faster code generation and tech labor. Public companies that fail to adapt to this new environment will face painful consequences, while those that embrace the power of AGI will be best positioned to thrive in the face of competition. The Great Public Short is not just a wake-up call; it's an opportunity for forward-thinking companies and investors to seize the future.